How Do I Avoid Major Mistakes When Flipping a Home?
There are many mistakes that you should avoid when flipping a home.
Flipping a house is a great investment, if it is done the right way. Unfortunately, flipping a house comes with many risks, and if you are not careful, you can find yourself at a loss. Not just money, but also the time and effort that you invested in flipping the property.
The TV makes flipping a house seem straightforward and affordable. However, there are many factors that you must consider before you jump into the project because you want to get a good price for it. Every house is going to be different, which means in some cases the process can be long, complicated, and filled with issues. You will also need to consider the Connecticut market. If you want to invest in a property to flip, you need to take a variety of steps first to ensure the investment is worth your while, including an inspection. The last thing you want is for your appraisal to come back lower than the offer when you are re selling.
To help you on your journey to a good return on investment, here are some major mistakes you should avoid when flipping a home.
#1 Investing in Properties with Water and Plumbing Issues
One of the biggest mistakes you should avoid when flipping a home is investing in a property that has water and plumbing issues. This can be a big issue, even if it doesn’t seem like it at first. A house with plumbing issues can mean water-damaged walls and floors, dampness and mold, and more. This can all lead to structural and pest issues too, if you are not careful. New water and plumbing systems will cost a lot of money to replace, and even more so if you have damages to repair.
When considering a property to invest in flipping, you can avoid this mistake by conducting a range of thorough checks when viewing the property. These may include:
Use a humidity detector
Check for warped floors, walls, windows, doors ways and woodwork
Feel the walls for soft or mush patches
Check the walls for spots or discoloring
#2 Investing in Properties with Structural Issues
An expensive and potentially risky mistake you should avoid when flipping a house has structural issues present or looks like there will be structural issues shortly. While the property may look okay on the outside, you won’t know if there are any structural issues until you look properly around the outside, as well as the inside. Structural issues can be very dangerous. They can also be very expensive to repair and will make re-selling the home very difficult. You should avoid this mistake when flipping a home at all costs!
To help you check for structural issues, you should:
Check for any cracks in the foundation on the exterior of the property
Check if the floor is level or has any abnormalities
Check the slants for any major problems
Check for rot in the plywood
Get a professional roof inspection
#3 Investing in Properties with Toxin Issues
Toxin issues are a big issue you should avoid when flipping a home. If there is any sign of a toxin issue, you should turn down the property straight away. This is because toxin issues can:
Pose a big health threat to you and the next buyer
Leads to bigger and more complex issues
Cost a lot of money to repair and sort out
You should be careful and check for a range of toxin issues present in the home, or signs that one is hidden or has started to grow. This could include:
Asbestos in the walls of old homes
Mold from water damage
Vermin issues (mice, rats, termites)
Flipping a house is no small task. Make sure you do your research and thoroughly inspect the property before you purchase it. Follow these top tips and avoid these major mistakes when flipping a home.
If you want more tips for a successful flip, reach out today!